Key Highlights 

• The UAE real estate market is set to reach AED 486.2 billion by 2030, growing at 8.06% annually from AED 302.65 billion in 2024.

• Dubai hits a record AED 624.1 billion in 2025 property transactions, with November achieving AED 64.7 billion alone.
• Dubai PropTech Group launches hub targeting 200+ startups and $300 million investment, establishing the city as regional PropTech capital.
• Nearly 10,000 millionaires relocated to the UAE in 2025 as the population surged by 1,000 residents daily, driving unprecedented housing demand.

The United Arab Emirates’ real estate sector is poised for substantial expansion over the next six years, with market projections indicating growth from AED 302.65 billion in 2024 to AED 486.2 billion by 2030. 

This represents a compound annual growth rate of 8.06 percent, positioning real estate as a fundamental pillar of the country’s economic diversification strategy.​

Record-Breaking Market Performance in 2025

1. Exceptional Transaction Growth

The UAE property market is on track to end 2025 on a record-breaking note, with strong investor demand, rising population, and robust economic fundamentals driving activity across key emirates. From January through October 2025, the market recorded approximately 178,000 total transactions, already representing 98 percent of all transactions recorded in the full year 2024.​

Dubai demonstrated exceptional performance, with total transaction values reaching AED 624.1 billion in 2025, significantly exceeding 2024’s AED 522.1 billion. November 2025 alone contributed AED 64.7 billion, marking a 49.6 percent year-on-year increase. The emirate recorded 19,019 property transactions in November, up 30.9 percent year-on-year, pushing the 2025 total to 197,263 transactions.​

In the first three quarters of 2025, Dubai recorded 55,300 transactions in Q3, representing a 17 percent annual increase. Property Finder tallied 59,044 transactions in Q3 2025, the highest quarterly figure ever recorded.​

2. Abu Dhabi’s Historic Surge

Abu Dhabi posted its strongest year on record, with 7,154 transactions in Q3 2025, representing a remarkable 76 percent annual increase. Off-plan sales dominated at 73 percent, led by projects on Fahid Island and Al Hidayriyyat. 

Off-plan apartment values surged 276 percent, supported by controlled supply and strong absorption. Abu Dhabi’s real estate sector grew by 4.2 percent in 2024, contributing 3.5 percent to total GDP with a value exceeding AED 41.7 billion.​

Key Growth Drivers Fueling Market Expansion

1. Population Growth and Wealth Migration

Population growth remained one of the biggest demand catalysts, with Dubai adding approximately 1,000 residents per day in early 2025, pushing housing needs across the city. Wealth migration also played a significant role, with nearly 10,000 millionaires moving to the UAE in 2025, boosting the top end of the market.​

2. Robust Economic Fundamentals

The macro backdrop in 2025 was highly supportive, with GDP growth reaching approximately 4.9 percent, fueled by tourism, non-oil expansion, and foreign investment. The UAE PMI stayed above 54, signaling steady business activity. The real estate sector contributed 7.8 percent to the UAE’s non-oil GDP in 2024, with a total value exceeding AED 138 billion.​

In 2024, the UAE attracted a record AED 167.6 billion ($45.6 billion) in foreign direct investment inflows, representing a 48 percent year-on-year increase. The real estate sector specifically attracted AED 4.2 billion ($1.1 billion) in greenfield FDI, accounting for 7.8 percent of total greenfield project value.​

Digital Transformation Reshaping the Industry

1. PropTech Revolution

Technology has emerged as a decisive factor in the UAE real estate market’s rapid evolution, with artificial intelligence, blockchain, virtual reality, and augmented reality becoming central to property design, marketing, and sales. 

By 2023, more than 80 percent of property listings in Dubai and Abu Dhabi had moved online, and over 60 percent of buyers were initiating transactions through digital portals.​

The UAE’s PropTech market is experiencing explosive growth, projected to rise from AED 2.24 billion in 2024 to AED 5.69 billion by 2030. In December 2025, the Dubai PropTech Group celebrated its first anniversary, having grown to more than 260 active members, positioning Dubai as the PropTech capital of the Middle East.​

The inaugural Dubai PropTech Hub was announced with ambitious targets: attracting more than 200 PropTech startups, creating 3,000 new jobs, and driving over $300 million in investment by 2030. This initiative aims to centralize innovation, facilitate collaboration between traditional developers and tech-enabled firms, and elevate Dubai’s role as a global PropTech innovation hub.​

2. Immersive Visualization Technologies

Advanced visualization platforms are transforming the development cycle by allowing buyers to experience properties before construction begins. AR and VR platforms enable walk-throughs of full-scale digital replicas of villas, apartments, and entire communities, helping developers minimize costly post-design revisions and providing greater confidence for off-plan purchases.​

Lifesize Plans Dubai, a global leader in life-sized architectural projection technology, entered the UAE market in 2023, offering 1:1 scale projections during the pre-construction stage. In 2025, the company integrated virtual reality capabilities alongside its existing augmented reality services, allowing clients to seamlessly transition between physical and digital spaces.​

Georges Calas, CEO of Lifesize Plans Dubai, emphasized that “the UAE real estate sector is entering a new era of data-driven growth. Technologies such as AR and VR are not just add-ons but are also redefining how properties are conceptualized, marketed, and sold. By immersing clients in hyper-realistic environments, we bridge the gap between imagination and reality, driving faster decisions and smarter investments.”

Market Dynamics and Investment Patterns

1. Off-Plan Dominance

Off-plan properties represent the core of the market, accounting for approximately 70.6 percent of all transactions after adjusting for how some under-construction townhouses and villas are registered. In Q3 2025, off-plan dominated, accounting for more than 70 percent of activity, driven by attractive payment plans and investor appetite.​

Developers launched more than 131,500 new units from January through October 2025, already exceeding the supply seen in a typical full year. 

In October 2025 alone, approximately 65 new projects with more than 14,000 units were launched. Year-to-date through October, the market witnessed 532 project launches with approximately 131,504 units coming to market.​

2. Price Appreciation and Market Maturity

Residential prices increased by only 0.13 percent month-on-month in October 2025, but the overall long-term trend remains strongly upward. The average price per square foot in Dubai reached approximately AED 1,683, more than double the market low in 2020 and approximately 36 percent higher than the previous peak in 2014.​

Year-on-year price growth in October 2025 stood at 14.29 percent, with the market recording 60 consecutive months of positive year-on-year price growth. Prices rose approximately 16 percent year-on-year according to market data, supported by demand for waterfront and branded projects.​

3. Mortgage Activity and Financing

Mortgage activity grew by 28.9 percent in October compared to September. The average Loan-to-Value (LTV) ratio stood at approximately 73.6 percent, indicating that banks remain comfortable sharing risk with buyers and investors. Around 58.3 percent of mortgages were for new purchases rather than refinancing.​

Bulk mortgages covering multiple units or whole floors for institutional or large private investors made up approximately 21.6 percent of total mortgage activity and are increasing again. This rise in bulk mortgages suggests that large and professional investors are still allocating capital to Dubai at scale.​

Smart City Infrastructure and Sustainability

1. Eco-Friendly Development Initiatives

The UAE is advancing its Net Zero 2050 vision through smart-home innovation and sustainable real estate development. Smart buildings equipped with IoT devices feature advanced energy efficiency solutions that can reduce energy consumption significantly.​

The UAE government has established ambitious targets for smart sustainable cities, implementing comprehensive frameworks that integrate technology with urban planning. Dubai’s transformation into a smart city by 2030 is closely tied to real estate sector advancement, with AI and IoT at its core.​

2. Regional Market Expansion

The Northern Emirates expanded rapidly in 2025, with more than 13,000 new units launched in Q3 alone. Ras Al Khaimah witnessed 18 percent annual price growth and 12 percent rental increases, fueled by relocations from Dubai and tourism-related demand tied to Al Marjan Island and the forthcoming Wynn Resort. Sharjah posted 12 percent price growth and strong family-driven demand.​

Investment Outlook and Market Balance

1. Luxury Segment Resilience

The luxury market remained a top performer in 2025, lifted by high-net-worth migration and limited supply. Ultra-prime districts such as Palm Jumeirah and Dubai Hills experienced 15 to 30 percent annual growth. Ras Al Khaimah’s coastal luxury projects gained global attention, with some developments reporting nearly 80 percent international buyers.​

2. Market Equilibrium and Future Trajectory

The Dubai property market is shifting from rapid vertical growth into a phase of strong but more sustainable expansion. The market is no longer in a speculative rally but rather entering a healthier environment characterized by powerful fundamentals, strong liquidity, and reduced speculation compared to the 2021-2023 hyper-rally period.​

Dubai’s office market remained one of the tightest globally, with 94 percent occupancy in Grade A districts and rents rising nearly 29 percent annually. Transaction values in the commercial sector increased 87 percent in Q3, driven by strong off-plan activity. With limited new stock until 2027, the commercial segment will likely remain landlord-favorable through 2026.​

The sector’s rapid digital shift, combined with strong capital inflows and large-scale development activity, supports expectations that the UAE real estate market will continue its impressive upward trajectory through the decade. The alignment of government-led innovation strategies, investor appetite for transparency, and an increasingly tech-savvy consumer base is accelerating PropTech adoption across the region.​

The convergence of technological innovation, sustainable development practices, robust government support, and sustained population growth establishes the UAE real estate market as a benchmark for regional excellence, with the sector set to play an increasingly significant role in the nation’s economic diversification through 2030.​